ISLAMABAD, April 11: National Accountability Bureau (NAB) said on Monday it had not moved any application in Accountability Court in Lahore seeking withdrawal of a loan default case against Faisal Saleh Hayat, federal Minister for Kashmir Affairs and Northern Areas. The NAB clarified that a statement in the press attributed to the prosecutor-general was not based on facts.

Actually the prosecutor-general had moved an application in terms of Section 25-A, Clause(f), according to which the court had to release the accused once reconciliation took place, said the bureau.

The governor of State Bank had approved reconciliation in Shah Jewena Textile Mills case, making it mandatory on the court under Section 25-A (f) of the National Accountability Ordinance to release the accused, the NAB claimed.

Reconciliation under the law had a binding effect, and the accused was to be released from liability once he undertook to repay the amount as determined by the Conciliation Committee, the NAB said.

According to NAB sources, the application moved by the prosecutor-general under Section 25-A(f) had only been to the extent that law had its course and the reference reached its logical conclusion once reconciliation took place.